In Registered partnership Firm Every partner needs to verify and sign the application & ensure that the following documents and prescribed fees are enclosed with the registration application: • Application for Registration in the prescribed Form – I. • Duly filled Specimen of Affidavit. • Certified copy of the Partnership deed on appropriate non-judicial stamp paper. • Proof of ownership of the place of business or the rental/lease agreement thereof. • Affix court fee stamp & payment of a prescribed fee for registration by demand draft. And, In Unregistered Partnership Firm A Partnership deed on appropriate non-judicial stamp paper duly signs by every partner required to be notarized by a notary is require executing and from that date Partnership Firm deemed to be registered.

Once the Registrar of Firms is satisfied that the application procedure has been duly complied with, he shall record an entry of the statement in the Register of Firms and issue a Certificate of Registration.

Any person who is an Indian citizen and a Resident of India can become a partner in a partnership firm. However Non-Resident Indians can only invest in a partnership with after obtaining prior approval of the Government.

Yes, an existing partnership firm can be converted into a company or LLP.

The partners in a partnership firm are the owners, and thus, are not a separate entity from the firm. Any legal issues or debt incurred by the firm is the responsibility of its owners, the partners. The partners have unlimited Liability.

A partnership must have at least two partners. A partnership firm in the banking business can have up to 10 partners, while those engaged in any other business can have 20 partners. These partners can divide profits and losses equally or unequally.

No, registration of a partnership is not necessary. However, for a partner to sue another partner or the firm itself, the partnership should be registered. Moreover, for the partnership to bring any suit to court, the firm should be registered. For this reason, it is recommended that larger businesses register the partnership deed.

The deed should contain names of the partners and their addresses, the partnership name, the date of commencement of operation of the firm, any capital invested by each partner, the type of partnership and profit-sharing matrix, rules and regulations to be followed for the intake of partners or removal.